Electronic Arts Inc. (EA) today announced that its Board of Directors has approved a definitive agreement to be acquired by an investor consortium in an all-cash transaction valued at approximately $55 billion. The acquisition will take the gaming publisher private, ending its 36-year run as a publicly traded company.
Transaction Structure and Value
The consortium acquiring EA is composed of PIF (Saudi Arabia’s Public Investment Fund), Silver Lake, and Affinity Partners.
Key financial and structural details of the deal include:
- Per-Share Price: EA stockholders will receive $210 in cash for each share of common stock they hold.
- Premium: This price represents a 25% premium over EA's unaffected closing share price of $168.32 on September 25, 2025.
- Financing: The transaction is to be funded by an equity investment of approximately $36 billion from the consortium partners (including PIF rolling over its existing 9.9% stake) and $20 billion in committed debt financing.
Historical Context: The $55 billion valuation makes this the largest all-cash sponsor take-private investment in history.
Strategic Rationale and Leadership
The investors and EA management have stated that taking the company private is intended to accelerate innovation and strategic growth, allowing the company to focus on long-term initiatives without the pressures of quarterly public market reporting.
Leadership: Andrew Wilson will remain as Chief Executive Officer of EA, and the company will maintain its headquarters in Redwood City, California.
Investor Synergy: The consortium noted that their combined capital and networks across gaming, sports, and entertainment are positioned to enhance fan engagement and create new growth opportunities for EA's portfolio, which includes major franchises like Madden NFL, EA Sports FC, and Battlefield.
In an official statement, CEO Andrew Wilson affirmed the company’s future direction:
“Looking ahead, we will continue to push the boundaries of entertainment, sports, and technology, unlocking new opportunities. Together with our partners, we will create transformative experiences to inspire generations to come.”
Next Steps and Timeline
The transaction has been approved by EA’s Board of Directors. Completion remains subject to customary closing conditions, including:
- Approval by EA stockholders.
- Receipt of required regulatory approvals.
The deal is currently expected to close in the first quarter of fiscal year 2027 (which ends March 31, 2027). Following the close, EA's common stock will be delisted from public markets.
For investors, the acquisition provides an immediate, premium exit, while signaling the continuing trend of large-scale consolidation and private investment in the global video game sector.